1. Gaining Leverage Through Power and Persuasion
Chapter 5
Gaining Leverage Through Power and Persuasion

2. Leverage in Negotiations
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If leverage is perceived as balanced – the parties bargaining power is balanced
If unbalanced – the negotiation process and outcome may be affected and the party with greater power may choose a win-lose approach, and not a mutual-gains approach
A party’s BATNA = greatest source of power

3. Negotiation Skills Skill 5.1: Use your BATNA
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Negotiation Skills
Skill 5.1: Use your BATNA
Skill 5.2: Recognize the sources of power (both sides)
Skill 5.3: Marshal persuasive arguments to support your interests/positions
Skill 5.4: Use verbal and nonverbal communication to persuade
Skill 5.5: Use threats to gain concessions

4. Chapter Case: Death in a Police Excessive Force Incident
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Chapter Case: Death in a Police Excessive Force Incident
Wilma filed a wrongful death lawsuit when her husband James, an 18-year-old African American male, was shot and killed by Officer Jones
Officer Jones believed James was pulling a gun (he was not) and shot him in the back
African American communities were angered when the grand jury failed to indict Jones
Wilma sued Officer Jones for negligent homicide
Jones offered to settle for $350,000
Negotiation meeting: Wilma refused the $350,000 and countered with $3,000,000

5. Leveraging Power from Your BATNA
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Leveraging Power from Your BATNA
In negotiations:
Power = ability to induce the other party to settle for less
Leverage = the use of power to achieve goals
Power is relational – derives from the relationship of the parties to the situation
The ability to walk away (BATNA) = the most essential bargaining power

6. Leveraging Power from Your BATNA (cont.)
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Leveraging Power from Your BATNA (cont.)
BATNA is “in the eye of the beholder”
BATNA is a perceived value
Thus, if the other party perceives your BATNA is greater then you have leverage

7. Power and Persuasion
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In any negotiation BOTH parties bring bargaining power to the table
The negotiation outcome, to some extent, depends on the power balance
Possible power situations:
Balanced A B
A power advantage A B
B power advantage A B

8. If Your BATNA Is Inferior
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If Your BATNA Is Inferior
If the parties believe your BATNA is inferior to the other party’s BATNA:
Keep your BATNA concealed, increase its perceived strength
Weaken the other party’s BATNA – thus balance the seesaw
Team up with other parties to increase your BATNA

9. If Your BATNA Is Inferior (cont.)
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If Your BATNA Is Inferior (cont.)
How can these alternatives be achieved during negotiations?
Introduce new information
Seek a new outside option to a settlement
Seek a third party’s opinion
Alter the other party’s perception of your BATNA

10. Sources of Power 1. Reward: Raises, perks, promotions
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Sources of Power
1. Reward: Raises, perks, promotions
2. Coercive: Punishment, firing, walk away
3. Legitimate: Position, approval authority
4. Expert: Specialized knowledge
5. Reference: Charisma, charm

11. Leveraging Power Through Persuasion
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Leveraging Power Through Persuasion
Principles of persuasion that can be used to alter the other party’s viewpoint:
1. Frame the question that is vital –
present it in the most favorable light
2. Marshal persuasive arguments to
answer that question
3. Choose the most persuasive argument
to support your position
4. Match nonverbal communication to the verbal

12. Personality Types

13. Common Nonverbal Behaviors

14. Creating Persuasive Arguments
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Creating Persuasive Arguments
Three keys (according to Aristotle):
Passion (Pathos): focus on emotions
Example: appeals to fairness, reciprocity
Logic (Logos): focus on information
Example: mathematical estimates, pros and cons of an action
Character (Ethos): focus on the person
Example: Cite their reputation for
honesty, fairness, authority

15. Using Persuasive Language
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Tactics that make an argument persuasive:
1. Metaphor: A powerful way to convey meaning from one thing to another
2. Humor: Can create a positive atmosphere, or diffuse a tense moment
3. Using props: Visual people respond better to images and words than verbal communications. Props can focus the discussion easily
4. Storytelling: Conveys the interests behind the position
5. Focus on other party’s perspective: Use either a central route – encourage content, or peripheral route – using throwaways, friendly/flattering behavior

16. Tools for Persuasive Communication
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Successful negotiators create leverage through persuasive
Verbal communication: direct single dialogue to present a position, followed by silence (use tone, pitch, and volume of your voice to convey meaning)
Nonverbal communication: can add emphasis through body language, facial expressions, actions
Kinesis: posture and physical movements (standing up, circling, walking out)
Eye movement: maintain eye contact to convey security, truthfulness
Facial expression: can express anger, happiness, fear, concern, etc., but also can be misread
Gestures: can be misread
Time and space: arriving on time, pleasant meeting space send cues

17. Persuasion Through Process
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Persuasion Through Process
Process techniques to shape the other party’s perception
1. Identify the decision maker: take the discussion to them
2. Address needs of individual team members if the interests of the groups are diffused
3. Frame the issue in terms of achieving common good for both parties, or meeting shared core values
4. Share the diagnosis of the problem to create support from both parties

18. Leveraging Power Through Pressure Tactics
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Key concepts:
Power is always relative – the power balance between parties is critical
Power can be real or perceived
Self-confidence gives one power
Belief that power will be used can make it unnecessary to exist
Power can be limited by outside influences
Ends and means can’t be separated
Exercising power involves risks and costs
Balance of power may change